Moore Capital Management and Appaloosa Management are among hedge fund firms that counted Citigroup Inc. among their top holdings before the bank posted a 16% rally in a month and a half.
Firms such as Moore Capital and Odey Asset Management Group Ltd. bet on Bank of America last year, when the stock more than doubled. Citigroup, led by CEO Michael Corbat, is the latest favorite after he replaced Vikram Pandit in October.
'The new CEO has gotten an immediate vote of approval', said Michael Holland, chairman of New York-based Holland & Co., which oversees more than $4bn and doesn’t hold Citigroup. The bank’s businesses had 'been so beaten up in public investors’ mind. Now that things are beginning to heal the valuations are starting to climb'.
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